Energy Innovation Security Needs Are Reshaping Global Investment Priorities

Iea

Energy innovation security needs are now reshaping global investment priorities. The IEA said energy innovation has entered a security-focused phase. Governments now place greater emphasis on resilience, industrial competitiveness, and domestic manufacturing capacity. As a result, energy innovation security needs are changing how money and policy are directed across the sector.

This shift matters because funding is no longer guided mainly by decarbonisation and affordability. Energy security now sits at the center of policy design. Governments want stronger control over critical supply chains and strategic technologies. Therefore, energy innovation security needs are becoming a core industrial policy driver.

The funding picture is becoming more selective. Global public energy research and development spending fell 2pc to $55bn in 2025. Venture capital investment in energy technology start-ups also dropped to $27bn. Meanwhile, artificial intelligence captured a much larger share of venture funding.

Energy Technology Investment Is Moving Toward Strategic Priorities

Energy technology investment is still flowing, but it is moving toward more strategic areas. The IEA said funding for nuclear fission, critical minerals, and carbon removal has expanded sharply since 2021. That growth has offset much of the decline in transport electrification investment. As a result, governments and investors are focusing more on supply resilience and system control.

This change reflects a broader industrial logic. Countries want technologies that improve energy independence and strengthen domestic production. They also want tools that reduce vulnerability to geopolitical disruption. Therefore, energy technology investment is becoming more tied to national capability than pure climate ambition.

The innovation outlook is not entirely weaker. The IEA said recent advances have reduced the share of emissions cuts requiring non-commercial technologies. That figure fell from around 35pc in its earlier assessment to around a quarter in 2025. Consequently, the energy transition is becoming less dependent on future breakthroughs alone.

Energy Storage Patents Show Where Innovation Is Accelerating

Energy storage patents now reveal where innovation is accelerating most clearly. The share of energy storage in total energy patenting rose from 15pc to more than 40pc during 2015-23. Preliminary data suggest that share may exceed 50pc in 2024. As a result, storage is becoming the dominant innovation theme in energy technology.

That matters because storage supports both security and flexibility. It helps power systems handle more variable generation and stronger electricity demand. It also fits the broader shift toward more resilient infrastructure. Therefore, energy innovation security needs and energy storage patents are increasingly moving in the same direction.

China also remains highly influential in the innovation landscape. The IEA said around a third of low-emissions energy technology patents in 2020-24 were filed by China. Meanwhile, fossil fuel patenting continued its longer-term decline. This suggests the innovation race is becoming more concentrated around strategic low-emissions technologies.

The Metalnomist Commentary

The IEA’s message is clear: innovation is no longer driven only by climate ambition. It is now being shaped by security, sovereignty, and industrial competition. The most successful countries will likely be those that can connect innovation funding with real manufacturing and supply-chain control.

Tesla Launches Shanghai Megapack Energy Storage Battery Factory

Tesla

In an exciting move towards sustainability and the acceleration of global energy transition, Tesla has officially launched its Megapack energy storage battery gigafactory in Shanghai. This new facility is a significant step in Tesla’s efforts to expand its energy storage systems globally, marking its first production unit for energy storage outside the United States.

Gigafactory’s Vision and Production Capacity

The factory is located in the Lin-gang Special Area of China’s Shanghai Pilot Free Trade Zone, with a planned production capacity of 10,000 Megapack units per year. This capacity equates to 40 GWh of energy storage. Tesla produced its first Megapack unit in February 2024, and production is expected to ramp up in the first quarter of the year. The company’s expansion of Megapack manufacturing is crucial in meeting the growing demand for energy storage systems as part of global efforts to transition to renewable energy sources.

Innovative Megapack Technology and Tesla’s Global Impact

The Megapack, which was first launched in 2019, can store up to 3,900 kWh of electricity per unit. This capacity is equivalent to the energy storage needs of 62 Model 3 electric vehicles (EVs). Designed to serve as large-scale energy storage solutions, the Megapack is ideal for battery storage power stations and can help stabilize grids reliant on renewable energy sources. Tesla’s goal is not just to create electric vehicles but to be a key player in the global energy transition, producing innovative energy storage technologies that support renewable power generation.

Tesla’s Expansion in Global Energy Storage Systems

This Shanghai-based gigafactory is Tesla's first energy storage manufacturing facility outside of the United States. Tesla’s California factory, which started production earlier, has a capacity of 40 GWh per year, producing around 200 Megapack units weekly. With the Shanghai factory now operational, Tesla aims to scale its energy storage solutions globally, facilitating the transition to sustainable energy worldwide. The company also reported a significant 113% increase in energy storage capacity in 2024, reaching 31.4 million kWh, surpassing the total capacity of the past three years combined.

Tesla’s ambition is clear. As the company looks to meet the increasing demand for energy storage solutions, it highlights the potential for Megapacks to play a critical role in energy generation and storage. As Tesla notes, just 0.1% of China’s Taklimakan Desert could power the entire nation for a year with the energy stored in these systems.

Conclusion: A Global Energy Shift on the Horizon

Tesla’s commitment to scaling energy storage production marks a pivotal moment in the push towards renewable energy. With the Shanghai gigafactory now in full production, the company is well-positioned to meet the rising global demand for energy storage batteries. As shipments of energy storage systems continue to grow, Tesla's innovations promise to be a crucial component in the energy transition, helping to reduce reliance on fossil fuels and ensuring a more sustainable future.

U.S. Department of Energy Amplifies Commitment to Critical Mineral Technologies with $17 Million Investment

Infinite Elements

Strengthening National Energy Security through Advanced Material Innovations

The U.S. Department of Energy (DoE) has announced a significant investment of $17 million in 14 cutting-edge critical mineral technology projects. This strategic initiative, spanning 11 states, is poised to bolster the nation's energy security and enhance domestic supply chains essential for clean and advanced technologies.

Targeted Improvements Across the Board

These projects, orchestrated by the DoE's Critical Materials Collaborative, aim to refine manufacturing processes for key technologies such as hydrogen fuel cells, semiconductors for electric vehicles, and components for wind and solar energy solutions. The focus extends to magnets used in wind turbines and motors, alongside advancements in battery and electronic technologies.

Key domestic materials like lithium, nickel, cobalt, rare earth elements, platinum group metals, silicon carbide, copper, and graphite are under exploration to expedite their commercial readiness, as per the DoE's strategy.

Highlighting Innovative Projects and Collaborations

Among the 14 projects, four are dedicated to developing magnets that require fewer critical materials. These are taking place in notable institutions and companies including the University of Texas at Arlington, Iowa State University’s Ames National Laboratory, ABB Inc., and Niron Magnetics Inc.

Furthermore, the DoE has funded six projects focused on enhancing the processing and manufacturing operations of critical materials. Collaborators in these projects include Free Form Fibers, Virginia Polytechnic Institute and State University, the University of North Dakota, Ames National Laboratory, Tennessee's Oak Ridge National Laboratory, and Summit Nanotech Corporation.

Recovery and recycling efforts are also part of this initiative, with two projects aimed at reclaiming critical materials from scrap and recycled products. These are underway at Texas Agricultural and Mechanical University and the metal recovery company, Infinite Elements.

The initiative's final push includes projects designed to reduce critical material content in clean energy technologies, involving innovators like hydrogen specialist Celadyne Technologies and battery pioneer COnovate.

Global Energy Investment to Reach $3.3 Trillion in 2025, Led by Clean Energy

IEA(International_Energy_Agency)

Clean Energy Spending Doubles Fossil Fuel Investment

Global energy investment is forecast to hit a record $3.3 trillion in 2025, with two-thirds allocated to clean energy technologies, according to the International Energy Agency (IEA). This marks a 2% real-term increase from 2024, despite ongoing geopolitical tensions and economic uncertainty.

The IEA expects $2.2 trillion to be invested in renewables, nuclear power, grids, storage, low-emissions fuels, energy efficiency, and electrification. In comparison, fossil fuel investment is projected at $1.1 trillion. The agency attributes the surge in clean energy spending to emission reduction goals, industrial policy incentives, energy security concerns, and the competitiveness of electricity-based solutions.

Energy security remains a primary driver of investment growth. While some investors are cautious about new project approvals, the IEA notes minimal disruption to existing developments.

Electricity Sector Investment Surges While Fossil Fuels Decline

The “age of electricity” is shaping global capital flows, with the power sector expected to attract $1.5 trillion in 2025. Solar power will lead the charge, drawing $450 billion alone. However, grid investment, while reaching a record $400 billion, is struggling to keep pace with soaring power demand.

Conversely, fossil fuel supply investment is expected to fall 2% — the first drop since 2020. Upstream oil spending will decline 6% to about $420 billion, while gas investment will also retreat amid price drops, higher operating costs, tariffs, and oversupply concerns. Coal investment will continue to grow, though at a slower 4% annual rate, driven largely by China and India.

Regional Shifts and Policy Impacts

China remains the largest global energy investor, with its share of clean energy investment rising from 25% a decade ago to nearly one-third today. In the US, investment in renewables and low-emission fuels is set to plateau as supportive policies wane. Meanwhile, oil and gas spending is increasingly concentrated in resource-rich Middle Eastern nations.

Spending on low-emissions fuels is projected to hit a record in 2025 but will stay below $30 billion, with projects vulnerable to policy uncertainty. The IEA warns that regional disparities in policy and market dynamics could influence the pace of the clean energy transition.

The Metalnomist Commentary

The IEA’s projection underscores the accelerating momentum of the clean energy transition, even amid economic headwinds. While record spending on renewables and electricity infrastructure marks progress, bottlenecks in grid expansion and regional policy uncertainties could challenge the pace of change. Investors and policymakers will need to address these gaps to secure long-term energy security and decarbonization goals.

US Turkey LFP Battery Partnership Targets 7GWh Production by 2027

Our Next Energy

US Turkey LFP battery partnership emerged as Our Next Energy (ONE) contracted Turkish manufacturer Pomega Energy Storage Technologies to produce 7GWh of lithium iron phosphate battery cells. The strategic US Turkey LFP battery collaboration targets 2GWh production in 2026 escalating to 5GWh in 2027, supporting ONE's energy storage solutions for utility, commercial, and industrial customers while bridging manufacturing capacity before domestic US production commences.

Strategic Manufacturing Timeline Bridges International and Domestic Production

US Turkey LFP battery production will focus on ONE's 314Ah LFP battery cells manufactured at Pomega's Ankara facility. The Turkish facility maintains 3GWh installed capacity and currently undergoes qualification for global export markets. This partnership provides immediate manufacturing access while ONE develops its Michigan-based grid battery production line scheduled for 2027 operations.

Meanwhile, the collaboration enables ONE to meet near-term customer demands without delayed market entry. Founder and CEO Mujeeb Ijaz emphasized the partnership's role in supporting customer commitments during the transition to US-based manufacturing capabilities. The phased approach reduces market risks while ensuring continuous supply chain operations across international and domestic facilities.

Turkish Manufacturing Hub Supports Global Battery Supply Chains

However, Pomega's Ankara facility represents Turkey's growing position in global battery manufacturing ecosystems. The facility's 3GWh capacity and export qualification process demonstrate Turkish manufacturing capabilities in advanced energy storage technologies. Turkey's strategic geographic position provides advantageous access to European, Middle Eastern, and Asian markets for battery exports.

Therefore, the partnership leverages Turkey's industrial infrastructure while supporting ONE's expansion strategy across utility-scale energy storage markets. Turkish manufacturing costs and skilled workforce availability create competitive advantages for large-scale battery production. The collaboration also strengthens US-Turkey commercial relationships in critical technology sectors driving clean energy transitions.

Market Positioning for Utility-Scale Energy Storage Growth

Furthermore, the LFP battery production targets utility, commercial, and industrial energy storage applications experiencing rapid market expansion. Lithium iron phosphate technology offers safety and cost advantages compared to alternative battery chemistries, particularly for large-scale stationary storage installations. The 314Ah cell specification aligns with industry requirements for grid-scale energy storage systems.

As a result, ONE's dual-facility strategy positions the company competitively across North American and international markets during the critical 2026-2027 period. The Turkish production capacity provides flexibility while Michigan facility development progresses, ensuring market presence during peak demand growth. This geographic diversification reduces supply chain risks while maximizing market opportunities across multiple regions.

The Metalnomist Commentary

ONE's partnership with Turkish manufacturer Pomega exemplifies how US battery companies strategically leverage international manufacturing partnerships to bridge capacity gaps before domestic production scaling, particularly important as global LFP demand accelerates faster than domestic manufacturing development. The collaboration demonstrates Turkey's emerging role as a strategic manufacturing hub for critical battery technologies, positioning the country advantageously within global energy storage supply chains serving both European and American markets.

India and Saudi Arabia Forge Partnership in Critical Mineral Sector

the Future Minerals Forum (FMF)

India and Saudi Arabia have entered into an agreement to enhance cooperation in the critical mineral sector. The two countries aim to collaborate on mineral exploration, sustainable extraction, and the development of resilient supply chains. This partnership is poised to play a significant role in securing essential minerals for clean energy and high-tech industries.

Strengthening Mineral Supply Chains and Reducing Import Dependency

The agreement was formalized during a meeting between India's Union Minister of Coal and Mines, G. Kishan Reddy, and Saudi Arabia's Minister of Industry and Mineral Resources, Bandar Ibrahim Alkhorayef, in New Delhi on February 4. The primary focus of the meeting was to establish international partnerships aimed at mineral security and sustainable development. This initiative aligns with India's National Critical Minerals Mission (NCMM), which seeks to secure a steady supply of critical minerals for various industries.

The discussions emphasized creating reliable and secure supply chains for minerals to reduce import dependency. Both nations recognized the importance of this cooperation in securing minerals necessary for the global energy transition and clean energy systems.

Promoting Domestic and International Collaboration in Mineral Extraction

In addition to strengthening supply chains, the dialogue also focused on advancing both domestic and international collaborations. The goal is to ensure a continuous supply of critical minerals, especially for clean energy technologies and high-tech industries. Furthermore, India and Saudi Arabia agreed to cooperate in adopting advanced mining technologies and innovations that promote sustainable mineral exploration and extraction.

This partnership also builds upon India’s involvement in the Future Minerals Forum (FMF) in Riyadh in 2025. India has shown a strong commitment to securing critical minerals, which are vital for the transition to clean energy and the future of global energy systems.

India’s Commitment to Sustainable Development

At the FMF event, Minister Reddy highlighted India's ongoing efforts to secure the critical minerals needed for energy transition and clean energy initiatives. India is focused on fostering international cooperation to meet the growing demand for these minerals, which are integral to advancing technologies that support clean energy, electric vehicles, and high-tech industries.

China-Russia Energy Cooperation Deepens as Beijing and Moscow Broaden Industrial Ties

China-Russia

China-Russia energy cooperation is set to deepen after both countries agreed to expand collaboration across energy, chemicals, metallurgy, agriculture and manufacturing. The pledge followed Russian president Vladimir Putin’s state visit to Beijing on 19-20 May.

China-Russia energy cooperation remains the core of the bilateral relationship. Oil, gas, coal, nuclear power and renewables all featured in the joint statement, showing that energy security remains central to both countries’ strategic alignment.

China-Russia energy cooperation also has wider industrial meaning. Stable Russian energy flows support China’s manufacturing base, while Russian suppliers gain a critical long-term market as western sanctions continue to reshape trade.

The two countries also agreed to extend their treaty of good-neighbourliness and friendly co-operation. That move reinforces a long-term political framework for resource trade, industrial projects and supply-chain coordination.

Energy and Nuclear Ties Anchor Strategic Partnership

Energy remains the strongest pillar of China-Russia trade. Russia is China’s largest supplier of pipeline gas, delivering through a 38bn m³/yr pipeline and accounting for about 45% of China’s pipeline gas imports.

However, the joint statement did not confirm progress on a second major gas pipeline. That omission suggests that both sides still have commercial or political issues to resolve before expanding pipeline capacity further.

Russian crude also remains important to China. China imported an average of 2.53mn b/d of Russian crude in January-April, up from 2.01mn b/d a year earlier.

The buyer structure is shifting. State-owned Chinese refiners have reduced some purchases since tighter US sanctions began last October, while independent refiners remain more focused on margins and cargo economics.

Nuclear energy is another strategic link. China and Russia will continue work on the Tianwan and Xudabao nuclear projects, which are expected to come online around 2026-28.

The two countries also plan to cooperate on advanced nuclear technologies, including fast reactors, fusion power and closed fuel cycle systems. This gives the relationship a long-term technology dimension beyond fossil fuel trade.

Renewable energy also appeared in the statement, including green power certificates. That language shows both sides want energy cooperation to cover low-carbon systems, even while oil, gas and coal remain central.

Agriculture, Metallurgy and Manufacturing Deepen Trade Flows

Agriculture is becoming a larger part of the partnership. China and Russia agreed to expand bilateral trade in meat, seafood, grains, oilseeds, vegetable oils and feed protein meals.

China already allows Russian beef and by-products that meet registration and disease-free zone requirements. It also lifted restrictions on Russian pork exports after a long ban linked to African swine fever.

Russia has become a key supplier of sunflower and rapeseed oils to China. It is also China’s largest source of non-GM soybean imports, making food security another strategic layer in the relationship.

Metallurgy and chemicals also remain important. China’s non-ferrous sector imports selected Russian raw materials, including antimony concentrate.

This matters because antimony is a critical material for flame retardants, lead alloys, ammunition, batteries and defence-related applications. Russian supply can help China manage raw material availability in niche but strategic metals.

The two countries also plan to deepen cooperation in automotive manufacturing, shipbuilding and civil aviation. Chinese automakers have already invested in Russian production, while Russia remains an important market for Chinese vehicles, including electric vehicles.

The wider industrial direction is clear. China and Russia are not only increasing commodity trade. They are building a broader economic partnership that connects energy, raw materials, food, manufacturing and strategic technologies.

The Metalnomist Commentary

China and Russia are building a resource-and-industry bloc designed to withstand western pressure. The metals market should watch the metallurgy and critical minerals angle closely, because raw material flows such as antimony can become strategically important even when volumes are small.

China Sinopec CATL Investment Accelerates EV Battery Exchange Network Expansion

Sinopec CATL

China Sinopec CATL investment emerged as the state-controlled oil refiner became the largest cornerstone investor in the battery producer's record-breaking Hong Kong IPO. The strategic China Sinopec CATL investment supports the companies' ambitious plan to build 10,000 electric vehicle battery exchange stations nationwide, marking a significant shift for the traditional energy company toward new energy infrastructure as China's EV market continues rapid expansion.

Record IPO Success Validates Strategic Partnership Value

China Sinopec CATL investment positioned the oil refiner as the largest cornerstone investor in CATL's $4.6 billion Hong Kong IPO that became the world's largest listing in 2025. CATL shares surged over 16% in their Hong Kong trading debut on May 20th, closing at HK$306.2 compared to the IPO price of HK$263 per share. The successful market reception demonstrates strong investor confidence in the partnership strategy and China's EV infrastructure development plans.

Meanwhile, the two companies reached an initial agreement in April to build more than 500 EV battery exchange stations nationwide in 2025, with a long-term target of 10,000 stations. This ambitious infrastructure rollout leverages Sinopec's existing network of 30,000 integrated energy charging stations serving 300 million users, including approximately 10,000 EV charging and battery exchange stations already operational across China.

Strategic Project Targets Heavy Vehicle Transportation

However, Sinopec and CATL finalized a specific agreement on May 21st for the Qiji Exchange Station project focused on heavy trucks in Fujian province. The project will serve critical road freight transportation along the coastal route between the Yangtze River Delta and Pearl River Delta using CATL's latest battery exchange system technology. This heavy vehicle focus addresses a key market segment where battery exchange offers significant advantages over traditional charging methods.

Therefore, the heavy truck application demonstrates practical implementation of battery exchange technology for commercial vehicles requiring rapid turnaround times. The coastal corridor route represents one of China's most important freight transportation arteries, making successful deployment here a potential template for nationwide expansion. The project showcases how traditional energy companies can integrate new energy technologies into existing transportation infrastructure.

Traditional Energy Companies Embrace New Energy Transition

Furthermore, Sinopec's investment reflects broader trends among conventional energy companies accelerating investments in new energy markets. State-run energy firm PetroChina launched a "supercharger station" in Shanghai's Yili road area in March, demonstrating industry-wide recognition of EV infrastructure opportunities. These companies leverage existing real estate assets and customer relationships to enter growing new energy segments.

As a result, joint ventures between traditional energy companies and EV technology providers create synergistic opportunities for rapid infrastructure deployment. PetroChina, SAIC, Sinopec, and CATL established the Shanghai JieNeng Zhidui New Energy Technology joint venture in September 2022 to lease EV battery packs and develop battery exchange technology. CATL's construction of a 40 GWh annual capacity factory in Dongying, China's largest oil refining city, further strengthens these traditional energy sector connections.

The Metalnomist Commentary

Sinopec's cornerstone investment in CATL's record-breaking IPO exemplifies how China's traditional energy giants are strategically positioning themselves within the electric vehicle ecosystem, leveraging their existing infrastructure assets to capture new revenue streams in battery exchange services. The partnership's focus on heavy vehicle applications addresses a critical market need where battery exchange technology offers compelling advantages over conventional charging, potentially accelerating commercial EV adoption across China's logistics sectors.

Energy Fuels Uranium Guidance Could Be Met by Midyear as White Mesa Output Accelerates

Energy Fuels

Energy Fuels uranium guidance could be reached by the end of June as the US producer completes its current ore-processing campaign at the White Mesa Mill in Utah. The company expects uranium oxide production to reach 1.6mn lb by midyear, within its full-year guidance range of 1.5mn-2.5mn lb.

Energy Fuels uranium guidance is significant because White Mesa is currently the only fully licensed and operating conventional uranium mill in the US. That gives the company a strategic position in domestic uranium supply at a time when western governments are trying to rebuild nuclear fuel and critical mineral capacity.

Energy Fuels uranium guidance also reflects stronger mine-to-mill performance from its conventional assets. The company is processing ore from the Pinyon Plain mine in Arizona and the La Sal Complex in Utah, with output expected to average more than 265,000 lb/month of finished uranium during the current campaign.

The company’s shares rose after the operational update, lifting its New York market capitalisation to about $3.6bn. But the stock remains lower year to date, showing that investors still want proof that production strength can translate into durable cash flow and diversified critical materials growth.

White Mesa Mill Strengthens US Uranium Supply Position

White Mesa’s performance is central to Energy Fuels’ role in the US uranium market. The company expects the current processing campaign to finish by the end of June, after which it plans to rebuild ore stockpiles before resuming processing in the fourth quarter.

The timing matters because uranium supply security has become more important for nuclear power, energy security and US strategic fuel planning. Conventional uranium mills are scarce in the US, so steady White Mesa operation gives Energy Fuels a domestic processing advantage that many developers do not have.

Energy Fuels also expects mining performance to improve in the second half of the year. Ore grades and contained uranium are projected to rise, while first-half contained U3O8 production in ore is expected at 750,000-850,000 lb.

The company expects White Mesa ore processing costs of $9-12/lb, near historic lows. Lower processing costs could strengthen margins if uranium prices remain supportive and mine output continues to improve.

This cost performance is especially important because the US uranium sector is still rebuilding after years of underinvestment. Higher grades, reliable ore feed and low processing costs can separate operating producers from companies that only hold development-stage resources.

Energy Fuels said its cost of sales should continue to decline in 2026. If that trend holds, the company could strengthen its position as the leading conventional US uranium producer while maintaining operational flexibility for later processing campaigns.

The midyear guidance achievement would not necessarily mean full-year production stops there. Instead, it would give the company more optionality for the second half, depending on ore availability, mine performance, market conditions and inventory strategy.

Rare Earth Upgrades Add Heavy Rare Earth Growth Path

Energy Fuels is also using White Mesa to build a rare earth separation platform alongside uranium. The mill processes natural monazite sand sourced globally and began commercial separation of rare earth elements two years ago, starting with neodymium-praseodymium.

The company has since added capability for heavy rare earths, including samarium, europium, gadolinium, terbium and dysprosium. These materials are important for permanent magnets, defence systems, electronics, high-performance motors and clean-energy technologies.

Energy Fuels plans to begin further modifications to its existing Phase 1 rare earth circuits in July. The upgrades are designed to allow commercial production of heavy rare earths in addition to existing commercial quantities of NdPr.

This is strategically important because heavy rare earth supply remains highly concentrated. Dysprosium and terbium are especially critical for high-performance magnets used in electric vehicles, wind turbines, robotics and defence applications.

The planned modifications will also add a circuit to process uranium-bearing mixed rare earth carbonates from global mines, including material from ionic adsorption clay sources. Because these mixed rare earth carbonates can feed directly into solvent extraction separation, the new circuit could allow White Mesa to process uranium and separated rare earths simultaneously.

That dual-processing model is important. It could turn White Mesa from a uranium mill with rare earth exposure into a more integrated critical minerals facility. The ability to process multiple feedstocks could improve utilisation, diversify revenue and strengthen domestic supply-chain resilience.

Energy Fuels expects the modifications to become operational in late 2027 to early 2028. The company is also planning a Phase 2 expansion that could raise total rare earth capacity at White Mesa to nearly 6,300 t/yr.

Permitting for both the circuit modifications and Phase 2 expansion is proceeding on schedule, according to the company. If delivered, White Mesa could become one of the most important US platforms linking uranium recovery, monazite processing, NdPr separation and heavy rare earth production.

The broader implication is that Energy Fuels is positioning itself across two strategic supply chains at once. Uranium supports nuclear energy security, while rare earth separation supports magnets, defence, electrification and advanced manufacturing.

The Metalnomist Commentary

Energy Fuels’ update shows why existing processing infrastructure is becoming strategically valuable in the US. White Mesa is not only a uranium asset; it could become a rare domestic bridge between nuclear fuel security and heavy rare earth separation.

US Gallium Recovery Projects Target Domestic Supply Chain for Defense and Semiconductors

DOE(The US Department of Energy)

US gallium recovery projects will receive $5.4mn in funding from the Department of Energy as Washington tries to rebuild domestic supply for a metal critical to defense systems, semiconductors and advanced electronics. The funding will support five US-based projects under the Technology for Recovery and Advanced Critical-material Extraction – Gallium initiative.

The TRACE-Ga initiative is designed to prototype technologies that can recover gallium from US metal-processing feedstocks. This is important because the US is fully import-reliant for gallium and has not produced the metal domestically since 1987.

US gallium recovery projects are gaining urgency because gallium is essential for compound semiconductor materials, including gallium nitride. These materials support power electronics, radio-frequency devices, radar systems, satellite communications, fast chargers, LEDs and other high-performance technologies.

The funding is modest in scale, but strategically important. It signals that the US is no longer focusing only on mining new critical minerals. It is also trying to recover strategic metals from industrial by-products, waste streams and existing processing networks.

TRACE-Ga Funding Targets Recovery From Existing Feedstocks

The DOE award will support five companies working on gallium recovery technologies. Participants include PHNX Materials, Atlantic Alumina Company, Found Energy, Kunin Technologies and Indium Corporation.

The selection of companies shows how broad the recovery opportunity could become. Gallium is not usually mined as a primary product. It is commonly recovered as a by-product from other industrial processes, especially alumina and zinc-related supply chains.

This makes gallium recovery different from conventional mining. The key challenge is not only finding deposits, but identifying feedstocks where gallium exists in recoverable concentrations and developing technologies that can extract it economically.

Industrial waste refiner PHNX Materials could support recovery from complex waste streams. Atlantic Alumina Company brings relevance to alumina-linked feedstock. Found Energy adds an aluminum-related industrial angle, while Kunin Technologies focuses on mineral by-product recovery. Indium Corporation brings downstream metals refining and manufacturing expertise.

The TRACE-Ga initiative therefore targets the middle of the supply chain. It seeks to bridge the gap between laboratory recovery methods and scalable domestic production.

That gap matters because gallium supply is highly concentrated. China dominates primary gallium production and has used export controls to increase pressure on global buyers. For US defense and semiconductor supply chains, reliance on foreign gallium has become a clear strategic risk.

Domestic recovery could help reduce that exposure. Even if early projects produce limited volumes, they can prove process routes, identify feedstock partners and create the technical base for larger recovery systems.

The use of US metal-processing feedstocks also fits a wider circular materials strategy. Instead of waiting for new mines, the US can extract critical materials from industrial streams already moving through domestic facilities.

This could make recovery faster than new primary production. However, it still requires technical success, feedstock security, refining capability and customer qualification.

Gallium Nitride Demand Raises Strategic Pressure

Gallium’s strategic value has increased because of its role in gallium nitride and other compound semiconductor materials. Gallium nitride is widely used where high power, high frequency, efficiency and heat performance matter.

These applications are highly relevant to defense and advanced electronics. Radar, communications systems, satellite technologies, power conversion equipment and semiconductor devices all rely on materials where gallium can be difficult to substitute.

The DOE’s TRACE-Ga funding also sits alongside a larger notice of funding opportunity of up to $69mn. That programme targets technologies and processes that advance domestic production and refining of critical materials, including gallium and gallium nitride for semiconductor applications.

This shows that Washington is building a layered funding strategy. TRACE-Ga supports recovery prototypes, while broader DOE programmes aim to scale refining, alloying and advanced material production.

For the semiconductor industry, domestic gallium supply is not only a raw material issue. It is connected to wafer production, epitaxy, device manufacturing, packaging and defense procurement. A shortage or export disruption at the gallium stage can move through the entire compound semiconductor chain.

This is why gallium recovery matters even if volumes are small at first. Strategic materials often have low tonnage but high consequence. A reliable domestic supply stream can reduce procurement risk for critical systems.

The challenge will be commercialisation. Recovery from waste and by-products can be technically complex because gallium concentrations may be low and feedstock chemistry can vary. Companies must prove that their processes can recover gallium consistently, meet purity requirements and operate at competitive cost.

The US also needs downstream refining capacity. Recovering gallium-bearing material is not enough if the material cannot be refined into forms suitable for semiconductor and defense applications.

The DOE funding is therefore best understood as an early-stage industrial rebuilding tool. It does not immediately solve US gallium dependence, but it helps create the technologies and partnerships needed to rebuild supply.

The Metalnomist Commentary

US gallium recovery projects show that critical mineral security increasingly depends on recovering by-products from existing industrial systems. The strategic test will be whether TRACE-Ga can move beyond prototypes and create reliable domestic feedstock for gallium nitride, defense electronics and semiconductor manufacturing.

Clean Energy Technology Market Set to Outgrow Oil by 2035

Clean energy

Clean energy technology market growth is accelerating across every major IEA scenario, even as manufacturing investment slows from recent peaks. The global market for electric vehicles, batteries, solar modules, wind turbines, heat pumps, electrolysers, zero-emissions trucks, and alternative propulsion ships reached almost $1.2 trillion in 2025.

The IEA said the clean energy technology market could reach around $2 trillion by 2035 under current policies and about $3 trillion under stated policies. In every scenario, its 2035 value exceeds the size of the global oil market in 2025.

This shift shows that clean energy is no longer a niche transition segment. It is becoming a core industrial market tied to manufacturing competitiveness, energy security, power infrastructure, and critical minerals demand.

Manufacturing Investment Slows as Capacity Surplus Builds

Clean energy technology manufacturing investment has started to cool after a major expansion wave. Global investment in key clean energy manufacturing fell from $220 billion in 2023 to just below $200 billion in 2024, with a further gentle decline expected through 2025.

The slowdown partly reflects surplus production capacity in solar modules and batteries. This creates pressure on margins, intensifies trade disputes, and pushes governments to protect domestic industries from foreign competition.

However, deployment continues to rise across all IEA scenarios. This means the next bottleneck may not be factory construction alone, but the infrastructure needed to absorb clean energy technologies at scale.

Grids and Supply Chain Resilience Become the Critical Battleground

Power grids are becoming one of the most important enabling sectors for clean energy growth. The IEA estimated investment in enabling infrastructure, mostly grids, at nearly $430 billion in 2025.

Low-emissions fuels also gained industrial relevance. Investment in low-emissions fuel production plants reached about $30 billion in 2025, matching expected investment in oil refineries.

The biggest strategic risk remains geographic concentration. China still holds the largest share of clean energy manufacturing, and the IEA warned that every major supply chain has at least one weak link where less than a quarter of demand could be met without the largest producer.

The Metalnomist Commentary

The clean energy technology market is now large enough to reshape global metals, manufacturing, and trade policy. The next decade will reward countries that can build resilient supply chains for batteries, grids, solar, wind, and critical minerals without relying on a single manufacturing hub.

Updates Mining Rebate Rules: What You Need to Know

US Mining

The United States has introduced significant updates to its mining rebate rules, affecting companies in the mining and materials processing sectors. The U.S. Treasury Department and the Internal Revenue Service (IRS) released definitive rules on Thursday regarding the Section 45X advanced manufacturing production credit, a part of the Inflation Reduction Act (IRA) of 2022. This credit was designed to foster investment in the U.S. manufacturing of components for wind, solar, and battery systems.

Key Changes to the Mining Rebate Rules

The new regulations bring forth an important adjustment for mining companies, particularly regarding "extraction costs." Previously, under the proposed guidance issued in December, extraction was not considered part of the production costs eligible for the 10% rebate. The rationale was that the extraction process was seen as too far removed from the ultimate production of an eligible component, such as those used in wind and solar energy systems.

However, after considerable feedback from stakeholders, the Treasury Department and IRS revised their stance. The updated rules now allow mining companies to claim the rebate for their extraction costs, provided the raw materials are processed into an eligible component. For example, lithium must be refined into lithium hydroxide, which can then be used directly in the production of batteries.

While the regulators acknowledged the importance of value-added processing activities, such as refining and purifying raw materials, they also clarified that "the action of extraction alone does not produce an eligible component." This decision effectively allows certain mining activities to qualify for the credit, but it is important to note that extraction alone, without subsequent processing, does not meet the eligibility requirements.

Industry Reactions and Future Implications

The updated guidance has generated mixed reactions within the industry. On one hand, groups representing mining companies welcomed the inclusion of extraction in some capacity, recognizing the importance of the sector in the overall supply chain for clean energy technologies. On the other hand, some stakeholders, including the National Mining Association (NMA), expressed disappointment over the narrow scope of the final rules.

Rich Nolan, CEO of the National Mining Association, argued that the decision to limit the rebate to producers who also refine materials would exclude many crucial projects from benefiting from the credit. He suggested that this limitation goes against the intentions of Congress in fostering a robust domestic supply chain for critical minerals.

The Bigger Picture: Supporting Clean Energy and Domestic Manufacturing

This policy shift reflects a broader push by the U.S. government to bolster clean energy production and reduce reliance on foreign sources of critical minerals. The Section 45X advanced manufacturing production credit is an essential part of the Inflation Reduction Act, which aims to position the U.S. as a leader in the production of clean energy technologies. As the demand for minerals like lithium, nickel, and cobalt grows—critical materials for battery production—the role of domestic mining and refining becomes increasingly important.

Mining companies, however, will need to balance the rebate’s requirements with the investment needed for refining capabilities. Many smaller mining operations may struggle to meet the additional processing requirements, potentially leaving them at a disadvantage compared to larger, more established companies with the necessary infrastructure.

In conclusion, the update to the mining rebate rules marks a step forward in supporting domestic mining and clean energy initiatives but leaves room for further development. The debate over the scope of the credit is likely to continue as stakeholders assess its impact on the industry and its ability to meet the growing demand for clean energy components.

Carpenter Technologies Sees Strong Fiscal Performance and Continued Aerospace Demand Amid Market Uncertainty

Carpenter Technologies

Carpenter Technologies Exceeds Profit Expectations

Carpenter Technologies, a leading specialty alloy producer based in Pennsylvania, has reported strong fiscal performance, with annual earnings expected to reach the high end of the company's previous guidance. This positive outlook is attributed to improved productivity, optimization of product mix, and strong demand in its first fiscal quarter, which ended on September 30.

The company now projects its operating profits for the fiscal year ending June 2025 to trend close to the maximum of its guidance range of $460 million to $500 million, following a notable increase in quarterly shipments.

Q1 Shipment Growth and Strong Demand in Aerospace

In the first quarter, Carpenter shipped 51.57 million pounds of products, a slight increase from 50.23 million pounds during the same period last year. Shipments from its Specialty Alloys Operations (SAO) rose by just under 1%, reaching 50.1 million pounds. However, its Performance Engineered Products (PEP) segment experienced a robust 15% increase, with shipments reaching 2.6 million pounds, driven by high demand for titanium solutions.

The company’s overall backlog has also increased to $2 billion, reflecting the ongoing uncertainties in the aerospace market. Despite this, Carpenter Technologies remains optimistic about the long-term macroeconomic demand for aerospace materials, particularly titanium, which continues to fuel growth in the aerospace and defense sectors.

Positive Sales Growth in Aerospace and Defense

Carpenter's Specialty Alloys Operations (SAO) segment reported a 22% increase in sales to $645 million compared to the same period last year. Sales in the aerospace and defense sectors specifically saw a 34% boost, rising to $350 million from $261 million in 2023. The aerospace and defense sectors now represent nearly 49% of Carpenter's total sales, up from 40% a year ago.

In addition to aerospace and defense, the medical and energy markets also contributed to the company’s growth. While sales in the transportation, industrial, consumer, and distribution sectors declined, gains in medical and energy-related markets helped offset these losses.

Carpenter Technologies Reports Strong Quarterly Profits

Carpenter Technologies posted quarterly profits of $84.8 million, up significantly from $43.9 million in the same quarter of the previous year. This was achieved on revenues of $718 million, a notable increase from $652 million in Q1 of 2023.

With continued strong demand in aerospace, defense, and energy sectors, along with effective management of its product mix and production schedule, Carpenter Technologies remains well-positioned for strong performance in the upcoming quarters.

Long-duration Energy Storage Set to Surpass Lithium-ion Batteries

Despite many long-duration energy storage (LDES) technologies being in their infancy and more expensive than lithium-ion batteries, some are already achieving or are expected to achieve lower costs for longer durations, according to BloombergNEF.

From pv magazine ESS News site

The interest in long-duration energy storage (LDES) is growing swiftly as the demand for reliable clean energy capacity increases. Since most LDES technologies are still developing, cost information is not widely available. BloombergNEF aims to bring clarity with its first LDES cost survey.

In their report, BNEF analyzed seven LDES technology groups and 20 technology types, discovering that the most affordable technologies are already offering cheaper storage solutions than lithium-ion batteries for durations exceeding eight hours.

Thermal energy storage and compressed air storage reported average capital expenditures (capex) of $232/kWh and $293/kWh, respectively. In contrast, lithium-ion systems had an average capex of $304/kWh for four-hour duration systems in 2023, which are generally used for shorter-term storage.

The factors influencing LDES capex include storage duration, project size, and location. Gravity energy storage systems, which lift weights during charging and release them in a controlled manner during discharging, have the highest average capex at $643/kWh.

The pace of cost reduction for LDES technologies will largely depend on the scale of deployment and the development of market pathways in key regions, according to BNEF.

UAE and Brazil Forge Strategic Minerals Partnership, Targeting Energy Transition Metals

IRENA

Significant Investment Aims to Bolster Brazil's Position in Global Metals Market

The United Arab Emirates (UAE) and Brazil have announced a landmark partnership focused on the exploration and development of Brazil's burgeoning metals industry, with a strong emphasis on strategic minerals crucial for the global energy transition. This collaboration, formalized between Brazil's Ministry of Mines and Energy (MME) and the UAE's Ministry of Investment, envisions investments of up to R$15 billion ($2.4 billion) across research, processing, trading, technology, and professional training.

This strategic alliance was cemented during the International Renewable Energy Agency's (IRENA) meeting held in Abu Dhabi on January 11-12. Brazil's return to IRENA, after a period of absence during the previous administration, underscores its renewed commitment to sustainable energy policies. The partnership aligns with IRENA's recognition of Brazil as a key player in the global energy transition.

Brazil's Rich Mineral Reserves Attract Global Attention

Brazil's abundant mineral resources are a primary driver of this partnership. The nation boasts the world's largest reserves and production of niobium, a critical element used in advanced alloys and superconducting technologies. Additionally, Brazil holds significant reserves of natural graphite, nickel, and rare earth elements, placing it among the top global producers. Furthermore, Brazil holds significant positions in lithium and silicon production. This partnership will provide a boost to companies currently operating within Brazil, and also attract new investment.

The recent announcement by Brazil's BNDES development bank to invest R$5 billion in strategic metals projects further highlights the nation's commitment to developing its mineral wealth. These investments are designed to enhance Brazil's capacity to meet the growing global demand for metals essential for renewable energy technologies and other high-tech applications.

Focus on Sustainable Development and Technological Advancement

A core component of the partnership will be the focus on sustainable development practices and technological advancements in the metals industry. This includes investments in research and development to improve processing techniques, reduce environmental impact, and enhance the overall sustainability of mining operations. Professional training programs will also be a key aspect, ensuring that Brazil has a skilled workforce to support the growth of its metals sector. The partnership between the UAE and Brazil is poised to reshape the landscape of the global strategic minerals market.

Realistic energy transition reshapes investor expectations at Appec

Energy Transition

The realistic energy transition is replacing idealistic narratives at the Appec conference in Singapore. Speakers describe a pragmatic balance between climate ambitions and the continued necessity of hydrocarbons. This realistic energy transition framing is reshaping how capital flows into oil, gas and renewables. Investors now demand clearer returns, better risk control, and credible decarbonisation pathways.

Investors pivot toward pragmatic capital allocation

Investors at Appec emphasise that capital for hydrocarbons and renewables requires certainty and disciplined governance. JP Morgan’s head of natural resources highlights a correction in extreme investor sentiment. He argues that energy markets must recognise hydrocarbon demand while advancing emissions reduction technologies. Therefore, the realistic energy transition involves flexible timelines rather than rigid, politically driven deadlines.

Industrial customers also face deep uncertainty over costs, technology choices and long term competitiveness. Gentari’s chief executive stresses that energy transition strategies must protect both households and export industries. He argues that companies should avoid decarbonisation paths that raise power prices excessively. As a result, many boardrooms now test scenarios for carbon prices, subsidies and renewable volatility.

Gas, renewables and resources in a realistic energy transition

Speakers underline that realistic energy transition roadmaps must reflect domestic resource endowments. Developers cannot build wind projects efficiently in regions with weak wind resources. They must instead align project pipelines with available solar, hydro, biomass or storage potential. Consequently, policymakers increasingly pair technology neutral auctions with strict delivery milestones and performance standards.

Natural gas emerges as a strategic bridge fuel within this pragmatic framework. Gas may gradually shift from baseload generation toward balancing intermittent renewables. However, long term gas demand will still depend on carbon pricing, methane regulation and electrification speed. Project developers therefore focus on derisking execution, ensuring plants meet budget, schedule and emissions targets.

The Metalnomist Commentary

The debates at Appec signal a maturing phase for the global energy transition narrative. For metals and fuels alike, investors will reward projects that combine cash flow resilience with credible decarbonisation. Market participants should expect policy support to favour realistic energy transition pathways over ambitious but fragile promises.

BYD Signs World’s Largest Energy Storage Deal with Saudi Electric Power

BYD Lithium Battery

Landmark lithium battery contract supports Saudi Arabia’s 2030 renewable energy target

Chinese energy storage leader BYD has signed a landmark contract to supply 12.5GWh of energy storage systems (ESS) to Saudi Electric Power. This agreement now marks the largest single ESS contract globally by capacity, according to BYD’s announcement on 14 February.

The new deal builds on BYD’s prior delivery of 2.6GWh to Saudi Electric Power, bringing the total supply to 15.1GWh. The two companies did not disclose the contract timeline. However, BYD confirmed that the agreement will significantly support Saudi Arabia’s Vision 2030, which targets 50% renewable energy integration.

BYD scales global reach with LFP-based ESS technologies

BYD began deploying lithium iron phosphate (LFP) battery storage systems 17 years ago. Since then, it has completed over 350 energy storage projects worldwide, supplying more than 75GWh to global markets.

As of 2024, BYD's ESS and power battery installations reached 194.7GWh, up 29% year-on-year. Of that, 135.02GWh was power battery installation alone, based on data from the China Automotive Battery Innovation Alliance.

These results further establish BYD as a global ESS leader, particularly as Chinese companies accounted for 93.5% of global energy storage shipments last year. In total, global energy storage battery shipments hit 369.8GWh in 2024—a 65% year-on-year increase.

Energy storage drives Saudi diversification efforts

The partnership between BYD and Saudi Electric Power aligns with the kingdom’s strategic push toward energy diversification and grid modernization. As Saudi Arabia ramps up utility-scale solar and wind projects, the need for large-scale battery storage grows rapidly.

BYD’s advanced LFP technology offers long cycle life, thermal stability, and safety—making it ideal for the desert climate and high-demand grid applications in the region. This deal positions BYD as a critical technology supplier in Saudi Arabia’s clean energy roadmap.

China and Indonesia Strengthen Ties in Critical Minerals and Renewable Energy

Strengthen Mineral

China and Indonesia are poised to deepen their cooperation in critical mineral extraction and renewable energy, marking a strategic move as global demand for clean energy technologies continues to grow. The announcement came during Indonesian President Prabowo Subianto's inaugural visit to China from November 8–10. The collaboration emphasizes joint initiatives in new energy vehicles, lithium batteries, and photovoltaics, reflecting the two nations' shared commitment to energy transition and economic synergy.

Strategic Agreements and Investments

During President Prabowo's visit, China reaffirmed its support for Indonesia's energy sector transformation, pledging to pursue "high-quality" partnerships in digital economies, clean energy, and infrastructure development. Addressing a business forum on November 10, Prabowo welcomed increased investment from Chinese enterprises across a range of industries.

Significant agreements were sealed during the visit, including a high-pressure acid leaching (HPAL) project in Sulawesi, jointly developed by Green Eco-Manufacture (GEM) and mining giant Vale Indonesia. This project will produce mixed hydroxide precipitate (MHP), a critical precursor in battery cathode production, further strengthening Indonesia’s position in the electric vehicle (EV) battery supply chain.

Indonesia’s Growing Role in Global Nickel and Aluminium Markets

As the world’s largest nickel producer, Indonesia is central to global EV and battery markets. According to the International Nickel Study Group (INSG), the country's share of global nickel output is projected to rise to 60.6% in 2024 and 62.8% in 2025, driven largely by Chinese-backed projects.

Additionally, Chinese firms are investing heavily in Indonesia's aluminium industry. Nanshan Aluminium is expanding its alumina refinery in Bintan and constructing a 250,000 t/yr refined aluminium plant. Chalco and Tianshan Aluminium are each building 1mn t/yr alumina plants in Indonesia, signaling a robust growth trajectory for bilateral collaboration in critical mineral production.

Key Projects in Renewable Energy

Chinese battery materials company Changzhou Liyuan, in partnership with the Indonesia Investment Authority (INA), is scaling up its lithium iron phosphate (LFP) plant in Indonesia. By 2025, the facility's production capacity is expected to expand to 120,000 t/yr from its current 30,000 t/yr, making it the largest LFP plant outside China.

These developments underscore the growing interdependence of China and Indonesia in renewable energy and critical minerals, aligning their national priorities with global sustainability goals.

VanadiumCorp Electrolyte Approved for CellCube Vanadium Flow Batteries

VanadiumCorp

VanadiumCorp Resource, a Canadian critical minerals producer, has achieved a significant milestone as its high-purity electrolyte has been approved for use in CellCube’s vanadium flow batteries (VFBs). This development underscores the growing collaboration between VanadiumCorp and Austria-based energy storage system manufacturer CellCube, aimed at enhancing the efficiency and scalability of vanadium flow battery technology.

Collaboration and Production Expansion

Following the approval, the two companies plan to test larger quantities of VanadiumCorp’s electrolyte with CellCube’s VFBs, further strengthening their partnership. This collaboration is crucial as the demand for sustainable energy storage solutions rises globally.

To support this growing demand, VanadiumCorp is scaling up its production capabilities. Currently, the company produces 250,000 liters per year at its pilot plant in Quebec, which is sufficient to supply 4.75MWh of energy storage in VFB installations. However, this is only the beginning of a more ambitious expansion plan.

VanadiumCorp is in the early stages of developing a second plant in Quebec, with a planned initial production capacity of 4 million liters per year. The first phase of the C$20 million ($14.4 million) project is expected to significantly boost the company’s output. By 2028, VanadiumCorp aims to reach an annual production capacity of 26 million liters, enabling 500MWh of energy storage for vanadium flow batteries.

Addressing the Global ESS Market

The collaboration between VanadiumCorp and CellCube positions the companies as key players in the energy storage system (ESS) supply chain. Vanadium flow batteries are gaining traction as a preferred solution for large-scale energy storage due to their long cycle life, scalability, and ability to store energy efficiently from renewable sources like wind and solar.

VanadiumCorp has also announced its intent to seek external investment to solidify its role in the VFB supply chain, a strategic move that aligns with the increasing demand for sustainable and efficient energy storage technologies.

Future Outlook

As the energy storage industry expands, the partnership between VanadiumCorp and CellCube represents a significant step forward in meeting global renewable energy storage needs. With ambitious plans for production growth, VanadiumCorp is poised to play a central role in the evolving market for vanadium-based energy storage solutions.

Energy Fuels Terbium Oxide Output Advances US Heavy Rare Earth Supply

Energy Fuels

Energy Fuels terbium oxide production marked an important step in rebuilding US heavy rare earth processing capacity. The company produced its first kilogram of 99.9% purity terbium oxide at its White Mesa Mill in Utah.

The pilot-scale output used monazite ore mined in Florida and Georgia. Energy Fuels said the high-purity terbium oxide met rare earth magnet manufacturer specifications.

Energy Fuels terbium oxide production is strategically significant because terbium remains one of the most supply-sensitive heavy rare earths. It is used in high-performance permanent magnets that support electric vehicles, wind turbines, defense systems, robotics, and advanced electronics.

White Mesa Mill Builds Heavy Rare Earth Processing Capability

The White Mesa Mill is becoming a key US platform for rare earth separation from monazite feedstock. Energy Fuels said the terbium oxide was the first US production from primary mineral feedstock in many decades.

The company has also produced dysprosium oxide at pilot scale at the same site. Since August, it has produced nearly 30kg of 99.9% pure dysprosium oxide.

Dysprosium and terbium are critical because they improve magnet performance under high-temperature and demanding operating conditions. This makes them especially important for advanced motors, defense technologies, and high-efficiency industrial systems.

Phase 2 Expansion Targets Commercial Rare Earth Oxide Output

Energy Fuels plans to expand heavy rare earth oxide production over the coming years. After completing its phase 2 circuit, the company expects capacity of 288t/yr of dysprosium oxide, 80t/yr of terbium oxide, and 6,000t/yr of neodymium-praseodymium oxide.

The phase 2 circuit could be completed as early as 2029. If achieved, the expansion would move Energy Fuels from pilot-scale production toward a more meaningful role in the US rare earth magnet supply chain.

Energy Fuels terbium oxide output also shows how domestic mineral feedstock, separation technology, and magnet-sector specifications must connect. The US rare earth strategy depends not only on mining, but also on producing separated oxides that downstream manufacturers can actually use.

The Metalnomist Commentary

Energy Fuels’ pilot terbium oxide output is small in volume but large in strategic meaning. The real test will be whether White Mesa can scale heavy rare earth separation into reliable commercial supply for magnet and defense customers.